Web  2.0:  a  real  marketing  opportunity  for  startups?  

     

Director:  Professor  Jean-­‐Pierre  Baeyens  Commissioner:  Professor  Philippe  Bilitau  Jury  President:  Professor  Eric  De  Keuleneer  

   

Marie-­‐Laure  Cruyt  

1  

AGENDA  

The  Web  2.0  context  

Web  2.0  opportunities  for  startups  

The  limits  of  Web  2.0  opportunities  

Conclusion  

2  

THE  THREE  DIMENSIONS  OF  WEB  2.0  

The  Smart  Web  

The  Participative  Web  

The  Social  Web  

Search  Engines  

Databases  

Reviews  Wikis  

Folksonomies  

Social  Networks  Blogs  

Online    Communities  

SOCIAL  MEDIA  

MARKETING  

SEARCH  ENGINE  

MARKETING  

WEB  ANALYTICS  

CONTEXT   OPPORTUNITIES   LIMITS   CONCLUSION  

3  

WEB  2.0  

THE  LEAN  METHODOLOGY  

ACCURATELY  DEFINE  MARKET  

CONSTANTLY  TEST  SOLUTION    

SCALE  

CONTEXT   OPPORTUNITIES   LIMITS   CONCLUSION  

4  

Search  Engine  Marketing  

Target  users  according  to  their  needs  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

5  

WEB  2.0  INTRODUCES  A  PANEL  OF  COST-­‐EFFECTIVE  TARGETING  TOOLS    

WEB  2.0  INTRODUCES  A  PANEL  OF  COST-­‐EFFECTIVE  TARGETING  TOOLS    

Search  Engine  Marketing  

Target  users  according  to  their  needs  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

5  

Search  Engine  Marketing  

Target  users  according  to  their  needs  

Social  Media  Marketing  

Target  users  according  to  their  interests  and  profiles  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

5  

WEB  2.0  INTRODUCES  A  PANEL  OF  COST-­‐EFFECTIVE  TARGETING  TOOLS    

Search  Engine  Marketing  

Target  users  according  to  their  needs  

Social  Media  Marketing  

Target  users  according  to  their  interests  and  profiles  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

5  

WEB  2.0  INTRODUCES  A  PANEL  OF  COST-­‐EFFECTIVE  TARGETING  TOOLS    

Search  Engine  Marketing  

Target  users  according  to  their  needs  

Social  Media  Marketing  

Target  users  according  to  their  interests  and  profiles  

Web  Analytics   Target  users  according  to  their  behaviour  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

5  

WEB  2.0  INTRODUCES  A  PANEL  OF  COST-­‐EFFECTIVE  TARGETING  TOOLS    

Search  Engine  Marketing  

Target  users  according  to  their  needs  

Social  Media  Marketing  

Target  users  according  to  their  interests  and  profiles  

Web  Analytics   Target  users  according  to  their  behaviour  

Fine-­‐tuned  and  engaging  communication  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

5  

WEB  2.0  INTRODUCES  A  PANEL  OF  COST-­‐EFFECTIVE  TARGETING  TOOLS    

Search  Engine  Marketing  

Test  different  messages  and  solutions  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

6  

WEB  2.0  OFFERS  A  FLEXIBLE  AND  REACTIVE  TESTING  ENVIRONMENT  

Search  Engine  Marketing  

Test  different  messages  and  solutions  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

6  

WEB  2.0  OFFERS  A  FLEXIBLE  AND  REACTIVE  TESTING  ENVIRONMENT  

Search  Engine  Marketing  

Test  different  messages  and  solutions  

Social  Media  Marketing  

Gather  dynamic  and  honest  feedback  Co-­‐create  value  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

6  

WEB  2.0  OFFERS  A  FLEXIBLE  AND  REACTIVE  TESTING  ENVIRONMENT  

Gather  dynamic  and  honest  feedback  Co-­‐create  value  

Search  Engine  Marketing  

Test  different  messages  and  solutions  

Social  Media  Marketing  

Number  of  votes  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

6  

WEB  2.0  OFFERS  A  FLEXIBLE  AND  REACTIVE  TESTING  ENVIRONMENT  

Gather  dynamic  and  honest  feedback  Co-­‐create  value  

Search  Engine  Marketing  

Test  different  messages  and  solutions  

Social  Media  Marketing  

Web  Analytics   Test  different  lay-­‐outs  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

6  

WEB  2.0  OFFERS  A  FLEXIBLE  AND  REACTIVE  TESTING  ENVIRONMENT  

Gather  dynamic  and  honest  feedback  Co-­‐create  value  

Search  Engine  Marketing  

Test  different  messages  and  solutions  

Social  Media  Marketing  

Web  Analytics   Test  different  lay-­‐outs  

Picture  

Button  

Text  ...   Picture  

Button  

Text  ...  VS.  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

6  

WEB  2.0  OFFERS  A  FLEXIBLE  AND  REACTIVE  TESTING  ENVIRONMENT  

Gather  dynamic  and  honest  feedback  Co-­‐create  value  

Search  Engine  Marketing  

Test  different  messages  and  solutions  

Social  Media  Marketing  

Web  Analytics   Test  different  lay-­‐outs  

Accelerated  learning  cycle  and  limited  sunk  costs  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

6  

WEB  2.0  OFFERS  A  FLEXIBLE  AND  REACTIVE  TESTING  ENVIRONMENT  

Search  Engine  Marketing  

Expose  message  to  a  global  market  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

7  

WEB  2.0  INTRODUCES  UNPRECEDENTED  GROWTH  OPPORTUNITIES  

Search  Engine  Marketing  

Expose  message  to  a  global  market  

Social  Media  Marketing  

Spread  content  virally  Amplify  word-­‐of-­‐mouth  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

7  

WEB  2.0  INTRODUCES  UNPRECEDENTED  GROWTH  OPPORTUNITIES  

Spread  content  virally  Amplify  word-­‐of-­‐mouth  

Search  Engine  Marketing  

Expose  message  to  a  global  market  

Social  Media  Marketing  

Web  Analytics   Introduce  Growth  Hacking  techniques  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

7  

WEB  2.0  INTRODUCES  UNPRECEDENTED  GROWTH  OPPORTUNITIES  

Spread  content  virally  Amplify  word-­‐of-­‐mouth  

Search  Engine  Marketing  

Expose  message  to  a  global  market  

Social  Media  Marketing  

Web  Analytics   Introduce  Growth  Hacking  techniques  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

7  

WEB  2.0  INTRODUCES  UNPRECEDENTED  GROWTH  OPPORTUNITIES  

Spread  content  virally  Amplify  word-­‐of-­‐mouth  

Search  Engine  Marketing  

Expose  message  to  a  global  market  

Social  Media  Marketing  

Web  Analytics   Introduce  Growth  Hacking  techniques  

Easier  leap  from  early  to  mainstream  market  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

7  

WEB  2.0  INTRODUCES  UNPRECEDENTED  GROWTH  OPPORTUNITIES  

Search  Engine  Adverts  

•  A  few  dollars  only  

•  Charged  per  click  

•  No  heavy  upfront  costs  

Blogs  &  Social  Media  profiles  

•  Free  of  charge  

Analytics  Solutions  

•  Low-­‐cost  •  User-­‐friendly  •  Powerful  

Mitigation  of  the  startup  resource  poverty  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

8  

WEB  2.0  MARKETING  OPPORTUNITIES  COME  AT  A  VERY  AFFORDABLE  PRICE  

Zenith  Optimedia;  April  2014  

Share  of  global  adspend  per  medium  

OPPORTUNITIES  CONTEXT   LIMITS   CONCLUSION  

9  

TRADITIONAL  MEDIA  APPEAR  TO  BE  MORE  EXPENSIVE  

Television  

Print  Advertising    

Desktop  Internet  

Other  

40%  

32%  

18%  

10%  

Search  Engine  Adverts  

•  Cost  per  click  can  be  very  high  

•  Mistakes  are  costly  

Blogs  &  Social  Media  profiles  

•  Very  time  consuming  

Analytics  Solutions  

•  Complex  manipulation  for  granular  insights  

•  Expertise  required  

Investment  in  adequate  human  resources  required  

LIMITS  CONTEXT   OPPORTUNITIES   CONCLUSION  

10  

WEB  2.0  MARKETING  OPPORTUNITIES  ARE  PEOPLE-­‐INTENSIVE  ACTIVITIES  

VISIBILITY  

NUMBER  OF  SITES  

Small  number  of  highly  visible  sites  

Large  number  of  barely  visible  sites  

11  

LIMITS  CONTEXT   OPPORTUNITIES   CONCLUSION  

SEARCH  ENGINES  FOLLOW  A  POWER  LAW  OF  DISTRIBUTION  

Illustration  of  the  power  law  of  traffic  distribution  by  Search  Engines    

SOCIAL  MEDIA  ARE  SHIFTING  TOWARDS  PAID  MEDIA  

12  

LIMITS  CONTEXT   OPPORTUNITIES   CONCLUSION  

SOCIAL  MEDIA  ARE  SHIFTING  TOWARDS  PAID  MEDIA  

0%  

2%  

4%  

6%  

8%  

10%  

12%  

14%  

Oct'13   Nov'13   Dec'13   Jan'14   Feb'14  

Average  organic  reach  of  content  published  on  Brand  Facebook  Pages  

Social@Ogilvy:  February  2014   13  

LIMITS  CONTEXT   OPPORTUNITIES   CONCLUSION  

MULTI-­‐CHANNEL  COMMUNICATION  IS  INEVITABLE  

Percentage  of  total  marketing  budget  spent  in  digital  marketing  according  to  firm  evolution    

Marketo  May  2011   14  

LIMITS  CONTEXT   OPPORTUNITIES   CONCLUSION  

IN  A  WORD  

Web  2.0:  a  real  marketing  opportunity  for  startups?  

YES,  BUT...  

Niche  domination  strategy  

15  

CONCLUSION  CONTEXT   OPPORTUNITIES   LIMITS  

Affordable  Lean     People-­‐intensive  

Elitist  

TOWARDS  WEB  3.0  

31  

CONCLUSION  CONTEXT   OPPORTUNITIES   LIMITS